Yes, but the really difficult part is knowing which strikes to buy and how to keep the portfolio afloat without constant negative theta dragging you under. You can easily run out of capital before the big event hits. There's a good reason almost no one does this well over the long haul.
98% of portfolios are still based on the disproven Modern Portfolio Theory. Wealth Managers are 20 years off, and have no idea of Defensive investing… or tail risk investing.
Mark will come around to Bitcoin (not crypto) eventually. For now it’s all lumped in, however, it completely aligns with his Austrian philosophy. He just needs more information on it.
He will never come around to buying into crypto for crypto's sake. Because it's so dumb. What he will do (if he isn't already) is to trade in and out of derivatives of crypto as he does with derivatives of stocks, bonds, commodities, etc. Because that's what he does.
@@jasonf4626 My point is his trade is not to simply buy anything in the "scarcity", "store of value" category and sit on it. No gold, no baseball cards, no Beanie Babies, no artwork. And no crypto. That just isn't what Universa does. Now if he sees OTM Bitcoin options that are mispriced compared to the event they represent, he might do something with them. Just like he would bond futures or stock options or whatever other derivatives.
The Megadeth intro is so choice
Basically,learn to trade straddles and strangles to benefit from volatility, you dont need to know or guess direction of a price
Why not just use deep OTM puts?
I agree.
Yes, but the really difficult part is knowing which strikes to buy and how to keep the portfolio afloat without constant negative theta dragging you under. You can easily run out of capital before the big event hits. There's a good reason almost no one does this well over the long haul.
98% of portfolios are still based on the disproven Modern Portfolio Theory. Wealth Managers are 20 years off, and have no idea of Defensive investing… or tail risk investing.
❤
Damn Bob was waffling a bit here.
Mark will come around to Bitcoin (not crypto) eventually. For now it’s all lumped in, however, it completely aligns with his Austrian philosophy. He just needs more information on it.
He will never come around to buying into crypto for crypto's sake. Because it's so dumb. What he will do (if he isn't already) is to trade in and out of derivatives of crypto as he does with derivatives of stocks, bonds, commodities, etc. Because that's what he does.
I wouldn’t necessarily disagree, which would be his loss in the long term. He’ll be fine either way.
@@jasonf4626 My point is his trade is not to simply buy anything in the "scarcity", "store of value" category and sit on it. No gold, no baseball cards, no Beanie Babies, no artwork. And no crypto. That just isn't what Universa does. Now if he sees OTM Bitcoin options that are mispriced compared to the event they represent, he might do something with them. Just like he would bond futures or stock options or whatever other derivatives.